868.51 Refugee Settlement Commission/70: Telegram

The Special Mission at Lausanne to the Secretary of State


462. Following from Dolbeare:

League Finance Committee in meetings of June 24 adopted a report which accepts in substance the Ter Meulen plan described in my 453, June 23, 8 p.m. In the organization as now suggested there would be representatives of the Greek Government and of the Greek banks which guarantee the loan and also two foreigners, one nominated by the International Finance Commission and one by relief organizations. The League Secretariat raised a good deal of opposition regarding the possibility of profit making. The British and Dutch members, on the other hand, insisted that collecting money was the principal task and that the plan must envisage a sound business scheme.

The feeling was that there can be no further action until the Greek Government and Greek bankers are consulted. Already an official message has been sent to Greece asking that a delegation be present at Geneva when the Council takes up the plan July 2. At the same time there will be a meeting of the Finance Committee. I stated in answer to an inquiry that I was not prepared to state whether it would be possible for me to attend. As technical questions will be discussed I suggest that some one better equipped should be sent. A member of the unofficial delegation to the Reparation Commission might make a useful delegate.

I have reported only to the Department in view of the pessimistic remarks regarding Greek credit.